Ch.6 · ARN and EUIN Rules · easy
What is the key difference in NAV between a Direct Plan and a Regular Plan of the same scheme?
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EXPLANATION
The Direct Plan NAV is always higher than the Regular Plan NAV since both plans started from ₹10 in January 2013. The lower TER in the Direct Plan means less is deducted from the portfolio each day, allowing more of the returns to compound into NAV. The gap widens with time.
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